Jack puts some music on at his apartment after saying goodnight to Amber. He pours a drink as Amber snorts cocaine and tries to talk to her son on the phone. Little Bill arrives home to find his wife in bed with another man.
0:07

Floyd Gondolli introduces some upcoming actors to the Colonel. Amber prises Dirk away from a girl. Buck looks forlorn so Jessie goes to talk to him. Reed welcomes Todd. Amber talls Dirk how much she loves him and they snort cocaine.
1:07

Floyd meets with Jack to talk about the future (and videotapes). Scotty J shows Dirk his new car and tries to kiss him.
1:12

"Do Your Thing" by Charles Wright & The Watts 183rd St. Rhythm Band

Scotty J cries in his car. Everyone else gathers together to get ready for the new year. Little Bill looks for his wife and finds her in bed with another man again. He goes to his car, picks up his gun and returns to shoot his wife and her lover, and then himself.
1:16

Dirk records the song in the recording studio with Reed playing guitar.
1:35

"Compared to What" by Roberta Flack

Jack starts a new film with the new guy. Rollergirl tells Amber that she may take the GED. Buck tries to get a loan to start his business. Kurt records some lesbian action. Todd supplies Dirk and Reed with cocaine. Dirk and Reed try to get their record tapes back.
1:37

Buck makes a commerical for his store with Scotty J and Kurt's help. Rollergirl studies in school. The colonel has trouble in prison. Maurice reveals a new sign on his club. Reed does magic. Buck's baby is born.
2:14